Alcohol industry and government revenue derived from underage drinking by Australian adolescents 2005

AimsThe purpose of this study was to estimate the revenue gained from consumption of alcohol by adolescents for each beverage type for the year 2005.DesignSecondary analysis of self-reported alcohol use in the 2005 Australian Secondary School Surveys Alcohol and Drug Use.SettingAustralia.FindingsOver 506,000 adolescents aged between 12 and 17 years (29% of all Australian adolescents) consumed approximately 175.69 million standard drinks in 2005. The total revenue generated by the consumption of these beverages was estimated to be $218 million, of which the government received approximately $107 million or 49% in taxation revenue. Total revenue per underage drinker is estimated at $430.84 with revenue increasing with age. Males tend to spend more on spirits and beer while females spend more on pre-mixed spirits. Females aged 12–15 years spend around $121 per year (or 50% of total expenditure) on pre-mixed spirits compared to females aged 16–17 years old that spend around $257 per year (or 62% of total expenditure) on pre-mixed spirits.ConclusionsThe Australian government and the alcohol industry receive substantial financial benefit from the sale of alcoholic beverages to under age drinkers.